Saugus reaches $850,000 deal with Mohegan Sun


The town would receive an $850,000 annual local impact payment from Mohegan Sun if the casino company wins a license to operate a resort-style casino at the Suffolk Downs racetrack in Revere. The agreement, reached after the two sides filed for arbitration with the Massachusetts Gaming Commission, marks the 11th surrounding community agreement Mohegan has reached with communities north of Boston. In all, the casino company has agreed to pay $37 million to cities and towns to address the effects of its proposed $1.3 billion development on area roads, public safety, and other local issues. Residents of communities located within a 15-mile radius of the casino site would be given priority consideration for 75 percent of the estimated 4,000 jobs the development would create. Businesses located in the same area would have access to vendor opportunities. “Our ability to successfully reach agreements with 11 surrounding communities illustrates the extraordinary and unique benefits that this project will bring to the region,” Mitchell Etess, chief executive officer of the Mohegan Tribal Gaming Authority, said in a prepared statement announcing the Saugus agreement. Mohegan is competing against Wynn Resorts of Las Vegas — which proposes to build a $1.1 billion resort casino on the Mystic River in Everett — for the one casino license available for Greater Boston. The Gaming Commission is expected to award the license this summer.

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